After failed attempts in the past, a Nevada gaming attorney said pari-mutuel sports wagering is likely to be revived in the future with an acquisition by an Australian-based company. BetMakers announced an agreement earlier this month to acquire the Las Vegas Dissemination Company (LVDC) for a reported $800,000.
LVDC is Nevada’s only licensed systems operator for pari-mutuel wagering, a type of pool betting often used in horse racing. The company is the racing industry’s only full-service race-information and off-track-betting hub and is therefore the exclusive pari-mutuel service provider for Nevada’s gaming industry and all major out-of-state casinos.
In a press release, BetMakers said the definitive asset purchase agreement will strengthen its foothold in the United States by securing direct access to one of Nevada’s top-tier casino-wagering operators. BetMakers said it creates a launchpad to roll out enhanced digital wagering solutions across LVDC’s network of casino and sportsbook customers and “establishes a strategically critical foothold in Nevada to accelerate BetMakers’ global network rollout.”
Established in 1988, LVDC is deeply embedded in the Nevada gaming ecosystem, servicing
sportsbooks, racebooks, bars, taverns, and online wagering platforms with race information, off track betting processing, and common-pool wagering.
“Integrating LVDC’s longstanding operator relationships with BetMakers’ modular technology suite and international client network reinforces BetMakers’ position as a global leader in end-to-end wagering technology,” the company said.
Earlier this month, gaming attorney Marc Rubinstein, who represents the Nevada Pari-Mutuel Association, responded to a question from Gaming Control Board member George Assad on whether there will be interest in extending pari-mutuel wagering to all sports, including basketball, football, and baseball.
“I don’t want to speak for them, but I think that’s very much a part of the intent, especially for sports like golf and auto racing that lend themselves to a pari-mutuel type of wager,” Rubinstein said. “That’s more so than basketball, baseball, or football. We see there being an expansion. The regulation has been on the books for a long time. I know because I drafted it back in the day, but it hasn’t been fully utilized. There’s a couple of failed attempts at pari-mutuel sports wagering, but I do believe this hub operator has designs on making it work.”
The acquisition is expected to contribute $4.5 million in revenue and be at least adjusted EBITDA break-even in the first year.
